TMI Blog1999 (7) TMI 239X X X X Extracts X X X X X X X X Extracts X X X X ..... Briefly stated the facts are that the Appellants manufacture, inter alia, a product by name Licel which is used for the purpose of killing head louse on the head of human beings. The Appellants filed the classification list claiming classification under Heading 3808.10 of CETA, as an insecticides. The Assistant Collector under order dated 17-2-1993, classified the impugned product under Heading 3003.10 and confirmed the demand of duty amounting to Rs. 1,70,609.74, holding that infestation of lice on one s head is a disease called pediculosis and as such the product has therapeutic value. On appeal, Collector (Appeals) upheld the order following the Appellate Tribunal s decision in the case of C.C.E. v. Pharmasia Pvt. Ltd. [1990 (47) E.L.T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t for curing a disease. 2.3 He emphasised that Licel is an insecticide and is registered under the Insecticides Act, 1968. Section 3 of the said Act defines insecticides as including any preparation containing a notified substance. Licel contains Malathion which is notified under the Insecticides Act; under Section 5, registration is to be granted by a Board which includes the Drug Controller of India. Registration is only granted after scrutinising the formula and verification of other factors. Reliance was placed on the decision in the case of Travancore Chemical and Manufacturing Co. Ltd. v. C.C.E., Kochi [1997 (89) E.L.T. 136 (Tribunal)] in which the certificate of Registration under the Insecticides Act for Copper Sulphate was duly c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mpugned product Licel is manufactured under Insecticides Act; that the issue in Pharmasia case was whether Medikar was classifiable under Chapter 30 or 33 of CETA and not under Chapter 38; that Licel does not contain D. Phenothrin at all which was used in the manufacture of Mediker; that the definition of disease as given in Dorland s Pocket Medical Dictionary does not cover pediculosis. The disease is defined as under: Any deviation from or interruption of the manual structure or function of any body part, organ or system that is manifested by a characteristic set of symptoms and signs and whose etiology, Pathology and prognosis may be known or unknown. 3. Countering the arguments, Shri H.K. Jain, ld. SDR submitted that the basic pur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Tribunal perused the following : - (1) Merck Manual of Diagnosis and Therapy - 14th Edition at page 2045 specifically deals with a disease known as pediculosis. (2) Physicians Desk Reference 1987 edition, at page 801 describes the disease pediculosis, warnings, cure and treatment. (3) A certificate dated 22-6-1987 given by Drug Control Administration, Government of Andhra Pradesh makes it very clear that the product is used for the treatment of disease and thus is a medicament. (4) Handbook Non-Prescription Drugs, 8th Edition at page 509 describes the problem of pediculosis, infestation of head lice and problems relating thereto. (5) Andrew s Disease of the Skin , Clinical Dermatology, Seventh Edition in page 554 describe ..... X X X X Extracts X X X X X X X X Extracts X X X X
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